Unsolicited Offer Wins 503,500-SF Portfolio

HOUSTON-Following a capital investment and occupancy improvement, Nelson Duffie Interests Inc. has sold a 503,500-sf industrial portfolio to Jaymar Investments. Sources familiar with the market say the local seller most likely got $20 million to $25 million for the seven-property portfolio.

John C. Duffie, a partner with Nelson Duffie Interests, says portfolio consists of 21 single-tenant manufacturing buildings and small-tenant structures of metal and brick with grade-level doors. The buildings’ average age is 10 years old. Duffie says occupancy was 82% when he and partner Richard R. Nelson III acquired the 21-building portfolio in early 2006.

“We’d bought it in bankruptcy court and nothing had been done TI-wise,” Duffie says. “There were 15 vacant spaces that had no power and were filled with cobwebs and badly needed painting.” He tells GlobeSt.com that Nelson Duffie invested $300,000 to $400,000 on capital improvements and ended up with a portfolio-wide occupancy of 95%.